LEADERSHIP INNOVATION, WINNING PEOPLE’S CONFIDENCE
MR. REY RUNTGEN MARTIN DEL ROSARIO
President, Philippine Innovation Entrepreneurship Mission, Inc.
At the 1st PHILIPPINE INTERNATIONAL ENTREPRENEUR CONFERENCE & EXPO
on March 22, 2017 at SMX Convention Center,
MOA Complex, Pasay City, Philippines
Let me congratulate the organizers of the 1st Philippine International Entrepreneur Conference and Expo headed by AdAsia-
This event is made possible by everyone’s participation, the social entrepreneurs and business enthusiasts of this great nation,
At Ang Bawat Pamilyang Pilipino,
Events like this allow us to strengthen our wonders; we build new friendships, and we create immeasurable explorations.
Well, summer is fast approaching, our venue- the Mall of Asia SMX Convention Center is surely a hub of innovation.
This is a place where innovation transforms compelling innovative products and services-
either or, or combination of both, reflects the artistic ideas.
Our theme since yesterday summates the direction and conclusion, provides emerging methodologies and pointers that are essential to continuous excellence so to uphold our own businesses, our extraordinary ideas, and simply our passion to various business solutions.
Innovation in the 21st century is one of the most powerful, relevant, and awesome concept. Millennials are even more enchanted with the various narratives that depicts and describes innovation.
We are pomp by the grandeur of innovation.
Innovation indeed colors our imagination.
Innovation empowers each one of us- the hard-working men and women for today’s future.
It’s easy to publicly announce that we are entrepreneurs.
Yes, it’s an instant job, it’s a job accessible for everyone.
Entrepreneurship open jobs, and this is the most pragmatic application based on wisdom.
Filipino entrepreneurs are considered the greatest asset of our nation.
Pinoy Entrepreneurs consolidates the 80% business and economic operations of this country.
You are the most hardworking workforce that no one can beat, and I salute you for that!
Aren’t you happy? Okay, please congratulate the person next to you.
Congratulate him or her for illuminating the brightest and rewarding profession he or she is currently engaging.
Okay, that’s enough because there’s more to that.
As you listened various lessons on how to start your own business from ideas to its legitimacy, from identifying your products or services to business registration including the strengthening of its marketing, operations- it is simply equally important to lead by example, to lead by inspiration, to lead your colleagues and subordinates towards your target goals.
At the end, these target goals define the value of return of investments or the targeted profit to sustain your own business, to avail the kind of life you desire, to maintain the simplicity or luxury that you deserve while working very hard.
To top it all, leadership innovation empowers you to win the people’s confidence.
The industry of business has witnessed how technological advancement has in renewing the landscape of entrepreneurship. Specifically, entrepreneurs discovered cheaper, often tax free haven opportunity to sell products or services. These can be seen in the context of social media networking including the various online applications.
Entrepreneurship offers the promises of limitless ideas in our imagination.
Entrepreneurship creates new pathways to basic commodities and services.
Entrepreneurship offers a positive alternative to those individuals who are tired in the conventional working environments.
Entrepreneurship brings down barriers and divisions.
Entrepreneurship creates a hub of individuals who are game changers.
In other words, entrepreneurs are no longer simply doing and undertaking something, instead, “entrepreneurs” are becoming innovative leaders, thus, leadership innovation embraces almost everyone including the so-called generation Y or the millennials.
It is in this context why “leadership innovation” or “Pinoy Leadership Innovation” becomes relevant in this new paradigm.
As the President of an NGO that promotes the “Network of Households,” -
our main advocacy is to educate and promote social entrepreneurship trainings to our adopted communities.
Our main platform of advocacy is centered to some 300 households, the grassroot sector.
PIEMI provides training towards the enhancement of their knowledge and skills.
As they develop the spirit of entrepreneurship, PIEMI facilitates the opportunities that awaits within their reach.
In this paradigm we have-
The concept of “Pinoy Leadership Innovation” is the process of serving and leading Filipinos unconditionally beyond the parameters of a “comfort zone area,” typically in the countryside, and often times in the most under-developed areas of the country for the purpose of providing an impact to enhance the welfare of the people.
Pinoy Leadership Innovation” addresses a cause to define an emergent aspect of leadership style in the Philippine setting based on the collective style of Filipinos.
When I was given the chance to lead and organize a Trade and Investment in 2011, I was hesitant about it. I was uncertain because I felt I can only translate diplomatic and international relations. I felt overwhelmed by its intimidating name. There, I discovered a wealth of activities that interest me, but more importantly for the growth of our nation through economic ties with other sovereign nations.
At that time, I only knew the rudiments of political rapport through my diplomatic foundations derived from my education and exposures to the various UN youth assemblies in Europe and America more precisely.
My mentor, and coach- Ambassador Alex Lamadrid, the DFA current Senior Special Assitant under the Office of the Undersecretary for Civilian Security and Consular Concerns.
At that time, he was then recently appointed as the Philippine Ambassador to the Federal Government of Nigeria, with the jurisdiction, as a non-resident Ambassador to some seven West and Central African states.
Judging by his designation, no one would doubt to say no to his invitation. With eighteen countries, with the world’s greatest consumers, with the world’s fastest developing countries, with the world’s most promising market, what more can an entrepreneur ask?
There is a wisdom that when entrepreneurs are given the invitation, the initial reaction is either we take it for granted or we greatly accept it with courageous commitment. Even before, I always remind myself to always be committed.
The market is there, the potential is there, everything is so readily available instantly and incredibly. Amb. Lamadrid then oriented me to basic pointers: The Philippine foreign policy is cantered to its three pillars namely: (1) national security; (2) economic security; (3) protection of the Overseas Filipino Workers (OFWs). The second pillar which as economic security was the main focus in terms of our direction in the context of Philippine foreign policy.
There I discovered a wealth of opportunities, not only to myself but also to Filipino companies. This is a very concrete mechanism how entrepreneurs can impact the Philippine economy. Through these little efforts of our own social networks, among our trustworthy friends, it will certainly bring us forward.
Our country’s best entrepreneurial minds are present to this convention. Let us enshrined to our practice that as we upgrade our economic social conditions- we are also enhancing our country’s inclusive growth from those in the fringes of our society, upscaling the wealth of our nation.
As I progressed that venture in the Trade and Investment, I became an innovative leader. With the chance given to me, it has changed my business perspectives, it made me more matured on how to contextualize larger entrepreneurial ventures.
On several occasions, I attempted to expand my niche more than Africa- I bridged the gaps with other nations to which became my strongest allies in the making.
The International Peace Diplomacy Corps, Inc.,-
a corps which aspires the promotion of some peace pillars anchored to UN Charter was also established eventually. International affairs became constant and confidently centered also to other sidelines.
With the confidence vested on me, I was able to establish organizations that promotes human welfare and development. Peace, social entrepreneurship, participatory development are some accomplished thematic areas, equivocal to our sense of collective and shared values.
When we think of others more than ourselves, we create a more rewarding profession. Entrepreneurs or social entrepreneurs demonstrate leadership innovation that crystalizes the people’s confidence.
On several occasions, I spoke about a closer economic integration infront to some business groups and with some members of the diplomatic corps, and even without asking for help, they became engaged, eventually assumed posts in the Honorary Board of Trustees of the International Peace Diplomacy Corps.
All these happens in the most unexpected scenario, the question now is, why should we join hands as entrepreneurs? We don’t think how small or new entrepreneurs could be, with the advancement of a world interconnectedness, there’s no doubt that we all need each other- to prosper and to help one another. Likewise, as Filipinos, when we are in unison, there is national confidence among ourselves. It affects our lives, same with the whole country.
We owe our countrymen the resources in sharing our skills and knowledge at least. As entrepreneurs, we are all leaders, that is surely true.
Entrepreneurs defines leadership innovation as today’s practice is emerging and developing continuously. Link to this are the typical usual entrepreneurial ventures we engage, although often, we fail to acknowledge them- but these small acts of entrepreneurship creates a powerful message to disrupt the conventional business enterprises- that’s innovation.
As we progress, I know most of you would agree with me that
we have our different stories,
how we make money,
how we earn- at least the legitimate ways…
we are changing the social order of our society.
Imagine the various unlimited means are already applicable.
The fact that we are all gathered together, like the various inspirational stories of every Juan Pinoy, indicates that we are in this vision of thinking ourselves.
No one can deny that at some point of our lives, we also wish to become instruments for the common national interests of our country.
With our unique roles, let our driving force be the inclusion that will illuminate the change that this administration, this government, and this innovative society wishes for its people.
Since we are integral players, we in the entrepreneurship sector must always innovate.
Maya Angelou stated that:
“I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.”
Oprah Winfrey quoted that:
“If you look at what you have in life, you’ll always have more. If you look at what you don’t have in life, you’ll never have enough.”
Today’s convention is an excellent opportunity for everyone.
We are working united towards the realization of the vast potential of this developing and strategic sector in fuelling our economy and backbone of our nation.
Taking leadership innovation as a central thematic area of entrepreneurship, you heard various testimonies from the brightest ideas since yesterday, and earlier as how these concepts demonstrates solutions to its embedded problems as leaders of your own enterprises.
Now, whether you are in the practice of sole entrepreneurship or corporate entrepreneurship, it’s an innate leadership innovation that comes naturally how each one of you leads your team the purpose you have attached in your respective enterprises.
The challenge to Pinoy entrepreneurs is to continuously rediscover the sense of leadership innovation.
How do we stand as innovative leaders?
How do we maintain the relevance of our leadership and purpose as enterprises?
How do we continuously rediscover the extraordinary position we have in our society?
What role do we intent to portray to stand out in a country with over 100 million population?
My dear friends, this foundation precisely underscores the paramount essence of inclusive and innovative growth of our enterprises and for our country.
Let me share another inspiring passage from an Anglican Bishop of Westminster Abbey during 1100 A.D.-
When I was young and free and my imagination had no limits, I dreamed of changing the world. As I grew wiser, I discovered the world would not change, so I shortened my sights somewhat and decided to change my country. But it too seemed immovable. As I grew into my twilight years, in one last desperate attempt, I settled for changing my family, those closest to me, but alas, they would have none of it. If only I had changed myself first, then, by example, I would have changed my family. From their inspiration and encouragement, I would then have been able to change my country and, who knows, I may even have changed the world.
Every entrepreneur possesses leadership innovation- when we lead at home, with our own family, to every organization or business group we belong, we have to acknowledge that we are creating drivers of growth.
This is the outcome we all wanted, we are all working so hard for leadership innovation, for the values we share and we hold to our nation. President Rodrigo Duterte needs our participation as leaders and entrepreneurs of this nation. We give him the chance to revolutionize the government, a system accessible to entrepreneurs- new, seasoned and successful entrepreneurs.
Our vision is always a picture of so much greatness as entrepreneurs. I also aspire if not today, you would all engage yourselves to international solidarity, to bring progress not only in our country, but also for providing better options to the global community. As globalization upgrades human economic lifestyle, as Philippines chairs ASEAN 2017, there’s no best place better to venture entrepreneurship except right here in the Philippines.
Leadership innovation is not a popular leadership style.
Leadership innovation is about winning the people’s confidence-
to lead by example and by inspiration-
to touch the lives of our colleagues and subordinates-
to impact the society in doing ordinary things with courageous commitment-
Leadership innovation should be a lifetime advocacy.
Leadership innovation is about confident entrepreneurs and enterprises.
Leadership innovation is winning the confidence of the people.
As we continue to move forward to a stronger national economy, let me share to you this short video that my organization recently celebrated, the 1st Philippine Innovation Convention.
I am incredibly honoured and grateful to have this chance to speak my thoughts before everyone. Once again, let us give a round of applause to AdAsia for creating this platform that encourages the spirit of social entrepreneurship through leadership innovation.
Let us commend our friends- the enterprises for their educational exhibits- for sharing their products and services- for bringing our brightest future within our reach.
From simple ideas turned into an opportunity, from this memorable convention translated into reality, the Philippines’ best is activating!
Maraming Salamat at Mabuhay!
HON. BENJAMIN ZIGA
Embassy of the Czech Republic to the Republic of the Philippines
2017 Peace Diplomacy Fellow, International Peace Diplomacy Corps, Inc.
Ladies and Gentlemen;
It is my great honor to be able to speak in front of such a unique audience next to the distinguish and excellent speakers of today’s afternoon as we observe the First Philippine Innovation Convention.
I was asked to provide an invocation to today’s program that focuses on the important concept of Innovation. Now, am sure we can all come up with different definitions to innovation, but we can all agree that NEW, ORIGINAL and EFFECTIVE ideas are essential in all walks of life. It does not matter if we innovate in science, try to be creative in politics or constantly create new economical models. What does matter is a continuous and dynamic thinking towards the improvement of the well being of our humanity.
Constant innovative thinking needs to become a standard in our relationship building between the academic institutions and business as well as the nonprofit sectors. We cannot dwell on stereotypes or engage in a thinking process that does not moves us towards new developments. We need to pave new roads by engaging in an exchange of ideas and practices that bring the new game changing options to our table, rather then strictly obeying the current structures.
The old structures also proposed that governments, business communities and civil society entities are a separate and completely incompatible parts of national and international coexistence. Look where we are Today? The strive to move forward and the innovative relationships between nations created spaces for business to flourish and civil society to closely overlook the political agendas. Ladies and gentleman it is more then obvious that if we want to fully utilize the potential of our societies we have to invest in research and development to an extend that it will allow us to create platform for creative entrepreneurs, involved politicians and respected civil society members.
Local businesses have to be brave to take on the global markets but they also have to have an innovative way of thinking in order to be successful. Stable, prosperous and incentive driven political environment is absolutely crucial for such business. It is not only the role of the businesses to adapt to the changes of international markets; it is also the role of the government representatives to provide them with tools and support for such adaption. Now the role of the civil society cannot by sidelined in this synergy, since it manifests the interests of the citizens within the nations.
Economic prosperity is largely based on overcoming differences, bridging connections between businesses and creating trust on each side of the transaction.
Sound entrepreneurship and innovation are to the tools that help to build such base. Being able to put an idea forward in an environment that will allow you to nourish the creative mind is exactly what springs innovation and creativity.
It is up to the governments to provide such environment by pushing non restrictive legislative measures supporting inventors and their ideas. We cannot stand idle and wait for jobs to be created. We have to actively engage in ensuring that micro, small and medium size enterprises receive the proper treatment and incentives that will support their potential.
Each of us can by innovative by pushing our legislators to promote growth, national competitiveness in an solid business environment. In this synergy the grassroots level has to have an adequate instrument to express their ideas, concerns and insights that will add the social aspect to the synergy between the political and the business entities.
As a representative of the government of the Czech Republic and a commercial counselor in the Philippines I witness innovation on daily basis. A simple conversation with governmental or private sector representatives requires a fair amount of innovative approach to find platforms of common understanding. Our cultural social as well as economic differences are to be overcome by innovative thinking on both sides that can lead to long lasting partnerships or even international business transactions.
The diplomats in the crowd can surely confirm, that bringing our national companies and foreign governments is almost always a game that that requires a large amount of innovative thinking. It is a game where you use the local knowledge and perspective and take it internationally.
You build trust, excitement in inclusive economic prosperity but more importantly you are likely to bring innovation to the conversation that those two entities would not be able to find. Typical meeting requires tons of research, coordination as well as innovation. This approach has been embedded even in the legislative structure in the Czech Republic.
Section for Science, Research and Innovations (SRI) was established within the Office of the Government of the Czech Republic as a coordinating and managing body for the system of science and research. The main objectives include science policy unification; setting up of the rules for transparent funding of institutions engaged in science, research and innovations; identification and support of excellence in science and the expansion of international scientific cooperation. There is a firm believe in Science and research and their importance in improvement of cooperation between academic institutions and the business sector.
The Czech Republic extends such cooperation to the Philippines by providing scholarship to Filipino students, allocating resources for development projects and encouraging governmental consultations to continuously nourish and innovative our relationship.
In conclusion, let me set the tone of today’s afternoon by defining innovation as a way of thinking for each of us. As we will hear the speakers throughout today’s afternoon we can each define this way of thinking in our terms. I’m convicted that the common underlining theme will be the new, original and effective approaches to the challenges that we face today as individuals, entrepreneurs, public figures or business owners. There is no right or wrong in thinking forward, it is the direction that we are heading that’s the crucial element.
Finally, let me extend my firm support for the first Philippine innovation convention s and let me congratulate the awardees and recipients of the 2017 awards.
Thank for your attention
MR. REY RUNTGEN MARTIN DEL ROSARIO
President, Philippine Innovation Entrepreneurship Mission
Chairman, International Peace Diplomacy Corps
Excellencies and the Members of the Diplomatic Corps Present;
Hon. Camilo Sanhueza- Dean of the Consular Corps and the members present;
Former House Speaker Jose De Venecia;
Today’s outstanding recipients;
At Ang Bawat Pamilyang Pilipino;
The Philippines embraced innovation through multiple dimensions over the last ten years. Empowering the 80% of the total population through various entrepreneurial works created and continuously defining a stronger Philippine economy. Congratulations to the Filipino nation!
As an NGO, the Philippine Innovation Entrepreneurship Mission, Inc. or PIEMI highlights its advocacy in the promotion of the Network of Households.
Today, we have an adopted community with more than 300 households, educating and training them to venture entrepreneurship in their respective community through the acquisition of knowledge and values by becoming more productive.
More broadly, PIEMI integrates various thematic areas on publications, consultancy, and distance education. PIEMI is active in the facilitation of the trade and investment promotion over the last five years. Understanding the paradigm, there are the elements of services and products involved- it is a promised courageously made, and a promised well delivered.
I am very grateful for your attendance and enthusiasm to this covention. PIEMI delivers a message with open arms to the international community, ready to cause its share for the nation, and extending our unique narrative to our media partners.
As we commence this Philippine Innovation Convention, we are united to the Filipino culture of social entrepreneurship through innovation.
The concept of innovation is highly contested, to some they often associate it with technological advancement,
to those in the academe- innovation is the creation of highly scientific scholarly journals,
to those in the government- innovation is making transactions easier in a shorter period,
to those in the diplomatic coprs- innovation is about diplomatic ties,
for PIEMI- innovation is extraordinary cooperation, collaboration, for a promised made, and a promised delivered for the society.
Accomplishing the synergy of equitable and sustainable programs are imperative to development based on the tripod society model: government; business community; and, civil society entities.
PHINCON 2017 articulates the progress of Philippine development in line with the Changing Conventional Concepts [3Cs] on Business Innovation consistent with our respective platforms of advocacy or business aspirations.
As PIEMI celebrates the value of the Network of Households, PHINCON 2017 redefines the music of Philippine economy in a multidisciplinary paradigm. This is our brand of innovation, it brings memorable, relevant, and powerful visual identities.
As this convention recognizes recipients of the 2017 Philippine Innovation Man of the Year, and the recipients of the 2017 Pinoy Leadership Innovation Awards- they are considered the game changers, innovators in their respective industry, they are surely Filipinos!
Maraming Salamat at Mabuhay!
On a personal note, I would like to introduce the most brilliant Speaker of the House of Representatives, Honorable Jose De Venecia.
“Learning Points to Leadership Innovation”
HIS EXCELLENCY RODRIGO DO AMARAL SOUZA
Ambassador Extraordinary & Plenipotentiary
Embassy of the Federative Republic of Brazil to the Republic of the Philippines
Dear IPCDI Chairman and President of Philippine Innovation Entrepreneurship Mission,
Mr. Rey Runtgen Martin del Rosario,
My distinguished colleagues from the Diplomatic and Consular Corps,
Ladies and gentlemen,
Good afternoon. I am very glad and honoured to participate in this event to celebrate the importance of innovation and the spirit of entrepreneurship. I would like to extend my heartfelt thanks to PIEMI and most particularly to my friend Reyron del Rosario for offering me the opportunity to share a Brazilian perspective on a very timely and relevant issue: “Learning points for Leadership Innovation”. I will focus my presentation on the case of Brazil.
Fostering innovation, or the ability to apply knowledge in the development and production of goods and services, is one of the key challenges Brazil faces as the country strives to emerge as a force in the global economy. To address this challenge my country needs to advance public policies on science and technology that help translate Brazil’s strong research base into products and services that benefit consumers and society at large. Better public policies create incentives and foster the necessary environment that will support companies in their effort to turn ideas into competitive products and services.
Innovation is not a new phenomenon. Technological progress and the development of new tools have been central to the evolution of mankind. What is new about the modern-day focus on innovation is the scale of and speed with which technical knowledge and scientific advances have taken place. Globalization has increased the competitiveness of countries and corporations integrated into the world economy, which, in turn, has sharpened the need for innovation—making it a central pillar for any public policy aimed at economic development and industrialization.
The globalized nature of today’s international economy makes the crafting of innovation policies extremely complex. Gone are the days when governments could simply “engineer” policies that targeted specific types of innovation; technological and scientific advances, which are critical components of sustainable economic growth, are now primarily driven by market demand. Yet, while firms are the principal engines of innovation and policy making is still grounded in economic considerations, the best players in the international arena are those that have developed a national system of innovation where the increased number of actors—companies, government institutions and research centers—fluidly interact within a cohesive network. Within this network, government institutions—and particularly a country’s macro-regulatory framework—play a pivotal role. A coordinated national strategy that integrates these different actors and their respective policies into one cohesive framework should therefore be a top-priority for the Brazilian government.
Different actors are involved in conducting innovation research and development in Brazil. The government, through public universities, technological institutes and agencies that promote research, is the main one. Incubators, technology parks, private investors and companies are also part of the Brazilian scenario of innovation, as are systems like the National Service for Industrial Training (SENAI) and the Brazilian Micro and Small Business Support Service (SEBRAE). Because of SENAI’s vast network of workforce training institutes across the country and its long history of working collaboratively with industry, it has been charged with the creation of 25 SENAI Innovation Institutes (ISIs), each of which will focus on a particular technology or group of technologies. Over half of the Institutes were operational as of 2016. SENAI’s goal is to create a network of institutes that will work with industry on applied research, and also act as catalysts to spur greater innovation.
Research conducted in Brazil is concentrated in universities and other federal or state institutions. There are currently 301 public institutions of higher education in the country (besides 2090 private ones), with 111 universities (beyond 84 private), 10 university centers (and 130 private centers), 140 colleges (and 1876 private ones), besides 40 federal institutes of education in science and technology. These agencies have at least 667 active centers of on-site support, such as libraries, tutoring rooms, computer labs, distance tutoring and learning laboratories. Universities are important institutions in the Brazilian innovation ecosystem, specially due to their role in preparing human resources, to the academic research carried out and to their relationship with the private sector. The number of higher education institutions also grew in recent years. From 1998 to 2012, 1,443 new institutions were established, which represents an increase of 240% in this period.
Besides serving as a source of qualified labor, Brazilian universities promote innovation through their Technological Innovation Centers, which encourage entrepreneurship and innovation, manage the technologies created at the universities and play an important role in the relationship between the university and the private sector.
The priority research areas in Brazil are divided into three blocks. In the first, relevant areas "for Brazilian competitiveness" stand out: aerospace, agriculture, biotechnology, defense, energy, pharmaceuticals and health, nanotechnology, nuclear energy, oil and gas, as well as information and communication technologies.
In the second are topics related to "natural resources and the environment": the Antarctic, biodiversity, marine biotechnology, natural disasters, meteorology, climatology and hydrology, climate change, oceans and coastal areas, water resources and mineral resources.
The subjects of the research focused on "social development" appear in the third block: digital inclusion, social and productive inclusion, popularization of ST&I (Science, Technology and Innovation) and the improvement of science education, as well as social and assistive technologies.
To stimulate innovation in Brazil, several changes have been made in the legislative framework: the Innovation Law (Lei da Inovação 2004), the Goodwill Law (Lei do Bem, 2005), and a 2007 modification of tax exemption rules to permit direct funding and to provide more incentives for businesses to engage in innovation. On March 2013, the federal government launched the Innovate Company Plan (Plano Inova Empresa) to: raise the level of R&D in companies; encourage projects with greater technological risk; combine finance (credit) with non-refundable grants and equity financing; maximize the use of the state’s purchasing power; decentralize policy implementation to reach microenterprises and SMEs and reduce administrative bureaucracy. Between 2013 and 2014, it allocated US$ 21.6 billion (R$ 32.9 billion) for companies’ investment in product and processes innovation.
The Secretariat of Innovation and New Businesses is the main government actor in charge of connecting public policies on innovation with private sector demands, focusing on entrepreneurship and technology innovation. It aims to promote innovation within Brazilian companies through mechanisms designed to support and foster the culture of innovation. The Secretariat also takes active part in elaborating innovation policies, in order to increase competitiveness to goods and services manufacturing, and monitors policies on Intellectual Property. Among its main activities are: the development of fiscal, financial and regulatory incentives for the development and use of green technologies; the public-private partnership on innovation policies and its results; qualification in strategic and technology-based industries to meet market demands; reorientation of instruments to support innovation for competitiveness in companies; and the attraction of global centers of R&D.
To boost economic performance, the Greater Brazil Plan 2011-14, adopted in 2011, gives innovation a central role and includes proposals for significant changes in legislative frameworks. The National Strategy for Science, Technology and Innovation (ENCTI) 2012-15 aims to: i) close the technological gap with developed economies; ii) support Brazil’s leadership in areas of the knowledge economy that take advantage of the country’s rich natural resources, such as green innovation, agro-business and other natural-resource-based activities; iii) strengthen the internationalization of the national research system; iv) foster the development of a green economy; and v) address the country’s substantial social and regional inequalities. To achieve these objectives, the government approved a target of 1.8% of GDP on R&D in 2014, up from 1.16% in 2010. Compared to other major emerging economies, Brazil’s 2010 R&D intensity is second to China’s (1.76% of GDP), ahead of India’s (0.76%, 2007) and South Africa’s (0.76%), and well ahead of Chile’s (0.33%) and Mexico’s (0.45%) of the same year.
Brazil’s approach to innovation has produced mixed results: on the one hand the country’s system is underdeveloped and fragile; on the other hand, the country has managed to make significant progress in this field. One particularly telling sign of such progress is that the term innovation is now an “explicit” item on the government’s agenda. Prior to 2001, government agencies responsible for advancing scientific knowledge only considered the issues of “science and technology”; now, the focus for these agencies is on “science, technology and innovation.” Trade organizations as well as business groups and associations have gone through a similarly transformational process: their lobbying efforts have led to fiscal policy reforms and adoption of new laws aimed at spurring innovation. Moreover, Brazil has a set of companies with proven innovative capacity. A 2005 study by the Brazilian Institute for Geography and Statistics-IBGE showed that nearly 33 percent of Brazilian firms are considered “innovative,” meaning that within a given calendar year they have developed a new product or service.
Brazil, however, is still lagging behind in the group of emerging countries when the subject is the production of innovation. The latest data from the Ministry of Science, Technology and Innovation (MCTI) indicates that, in 2013, only 1.6% of the GDP, equivalent to R$ 85.6 billion was invested in science and technology. From this amount, R$ 63.7 billion was invested in Research and Development (R&D). Most of the funding is public, adding up to about R$ 36.8 billion. Private and state-owned companies invested R$ 26.5 billion.
Without innovating or creating new products or industrial processes, the country is held hostage to its agricultural sector – which is not a bad thing, but imposes limits – and to this sector’s inherently cyclical nature. It is not surprising then that the country’s ranking in terms of its facility or capacity to do business is still poor. In the tables issued by the World Bank, in its Doing Business report, Brazil scores pitifully low in areas such as innovation (84th), capital markets (58th) and education (93rd), with a final ranking in 120th place out of 140 countries analyzed.
After several years of focusing on monetary and fiscal policy at the macro-level, and creating a more stable and predictable economic environment for industry, Brazil embarked over the last two decades on a large-scale effort to address structural issues around building innovation capabilities within the country. In the face of increased global competition, particularly from Asia, many Brazilian workers and industries are at a competitive disadvantage when it comes to capturing higher skilled and value-added work that can translate into higher productivity and a higher standard of living. This competitive disadvantage has been exacerbated by the country’s current economic and political crisis. Given recent headwinds, the innovation agenda is more important than ever to Brazil and to the Brazilian government’s effort to support and drive economic growth. In order to succeed and become a greater force in the globalized economy Brazil must employ integrated innovation policies in a way that exploits its comparative advantages and ample natural resource base.
There used to be a tendency in Brazil for discussions on innovation policies to only focus on the part played by universities. We cannot forget, however, that the central players in an innovative economy are not universities, but rather firms. Brazil has had a legacy of neglecting the importance of businesses in this process; up until 1999, the government assumed that universities were adequate substitutes to pick up the slack in research and development (R&D) not carried out by the private sector. As a result, universities dominated the country’s public discourse on innovation-oriented policies, skewing policies in their favor.
It is imperative for Brazil to adopt appropriate policies that recognize the leading position firms occupy in the process of innovation. Among other initiatives, the Innovation Law—submitted to Congress by President Fernando Henrique Cardoso in 2002 and signed into law two years later by President Lula—was a particularly important step in the right direction. The law, which increased academic IP rights, encourages greater university-industry joint R&D ventures and stimulates industrial R&D by providing tax incentives, subventions and subsidized loans. It also established a critical precedent, continuity, which is arguably more important than the substance of the policy. Further institutionalizing these governmental policies will spur the country’s innovation system by increasing industries’ confidence in the government’s strategic commitment to develop a favorable national environment for innovation.
There is indeed a lot of innovation and energy in recent years in the startup market of Brazil. Brazil is starting to make great headway and several startup accelerators are in the top 20 of Latin America based on activeness. Livox, an application for tablets and smartphones that allows persons with disabilities to communicate and learn better, was appointed during the World Summit Awards (WSA) Mobile 2015 as one of the most innovative initiatives in the world for mobile devices. Livox was chosen in 2015 by the United Nations as the best tool for alternative communication in the world.
According to a list of the 10 most innovative companies in Brazil compiled by Fast Company magazine, one of the main reference in the business of innovation, Bug Agentes Biologicos and Boo-box, the top two Brazilian most innovative companies, made to the Top 50 Most Innovative Companies worldwide. Both expect significant growth in the very near future. Boo-Box, an advertising system for social media, is the 45thmost innovative company worldwide: with 31 thousand publishers and 280 thousand websites, it shows 3 billion ads every month to 65 million people and expects to grow exponentially by having a stronger presence in Latin America. Bug Agentes Biologicos, ranking 33rd worldwide, is a supplier of predatory insect eggs and parasitoids used for natural protection of crops. It presents a natural alternative to harmful agricultural pesticides and aims Brazil’s $7 billion pesticide market.
The list of the Top 10 most innovative companies includes some of the Brazilian heavyweights in our exports, like the state-owned oil giant Petrobras, one of the leading companies in deep water oil and natural gas production worldwide, now engaged with the challenge of exploring oil in the so-called pre-salt layer; and the world’s fourth largest aircraft manufacturer, EMBRAER, which sells both military and commercial planes and is the world leading company in the production of aircraft to transport up to 100 passengers. Other model examples of leading companies that excel in innovation in Brazil are vaccine producers, which flourish in a field dominated by multinationals; and the state research agriculture agency EMBRAPA, a world leader on genetic research for soybeans and grain.
Brazil’s STI strategy seeks to strengthen its comparative advantage in the “green” economy. In environmental technologies, Brazil has a research performance above the BRICS average, but below the OECD median; In bio- and nanotechnologies, Brazil displays an advantage with respect to both the OECD and the EU28 (Panel 2). Support programmes include sectoral funds (CT-Energy, CT-Petro). In February 2012, a new Climate Fund under BNDES was announced to finance projects that help reduce greenhouse gas emissions.
Despite the downfall in GDP over the last two years, the Brazilian economy still has the largest and most dynamic economy in Latin America. With a population of over 202 million and a GDP of USD 1.83 trillion, Brazil is one of the largest global markets for cosmetics, computers, biofuels, aircrafts, automobiles, cell phones, medical equipment and pharmaceutical products. Brazil is, by any standard, Latin America’s greatest cradle for startups which focus on the so-called “collaborative economy”, which connect people through applications designed to foster innovation, sustainability and entrepreneurship. 32% out of all collaborative economy initiatives in Latin America are originated in Brazil, according to a recent report funded by the Interamerican Development Bank.
At first glance, Brazil seems perfectly positioned to be a leading innovator in an increasingly connected and collaborative world. Brazilians, for example, are enthusiastic adopters of the disruptive digital technologies that are driving faster, more cost-effective innovation. And the country’s embrace of connectivity constitutes a critical asset as technology-driven networks reshape the global innovation landscape. Brazil has the world’s third-largest number of Facebook users and the fifth-largest in number of Twitter users, many of them small businesses and startups. These core strengths should be putting Brazilian companies on a par with the world’s leading innovators.
But a nation whose businesses enjoy global prominence in innovation-intensive sectors as diverse as biotechnology, clean energy and aerospace languishes in 61st place on the 143-country Global Innovation Index compiled by Cornell University, the INSEAD business school and the World Intellectual Property Organization. Brazil has not been effective by global standards in its efforts to turn inputs into innovation outputs, from patent applications to new products, services and business models. Plainly, Brazilians still aren’t turning their innate innovation advantages into world-class initiatives.
With a more open mindset, Brazil’s innovation deficit can be overcome. And a number of leading Brazilian companies are showing how it’s done. These pioneering players were quick to recognize how critical an open, global attitude toward innovation is for the country. They are aware that Brazil’s huge domestic economy is struggling to continue growing. They also know that as digital technologies lower barriers to entry for disruptive innovators (many of them from Asia), Brazilian firms now face increasingly direct competition—on their home turf. For these companies, agility and flexibility are becoming far more important than the dominant domestic scale once considered an essential prerequisite of global success. And by leveraging their core strengths and partnering externally to access new capabilities, they are reconceiving their global engagement. Leading Brazilian businesses, such as the petrochemical giant Braskem and the previously mentioned aircraft maker EMBRAER, are building global partnerships to help strengthen their positioning within them.
Due to a multitude of fiscal and infrastructural complexities, Brazil is a high-cost economy. Indeed, we usually refer to this byzantine bureaucracy as custo Brasil (literally, “the Brazil cost”). The 2014 World Bank’s Ease of Doing Business Index ranks Brazil 114th out of a total of 189 countries, between China (96th) and India (136th). The country clearly can’t compete with Asia’s low-cost innovation models, but it can leverage “smart” business models for innovation—circular (or renewable) designs that eliminate waste by decoupling growth from scarce resources, extend product lifecycles through refurbishment or upgrades, or share capacity with other businesses, all with the goal of achieving more with less. Such smart business model innovation plays to Brazil’s strengths and minimizes the impact of its weaknesses. Moreover, digital technologies can play a critical enabling role.
Brazil’s infrastructure and security challenges, for example, prompted Easy Taxi to develop a GPS-enabled app allowing customers to find taxis fast—one of the first such services anywhere. The company now operates in more than 30 countries and claims to be the “largest taxi-booking app in the world.”
Opportunities plainly abound for Brazil’s innovators—those with an open mindset and the right vision. As more Brazilian companies recognize how a more open, international and collaborative mindset can complement their considerable existing strengths, we anticipate a future in which Brazil could become a byword for innovation—worldwide.
I could not finish this brief presentation without a reference to the important role that initiatives such as the Pinoy Leadership Innovation Awards play with a view to fostering the much needed quest for innovation. I have the pleasure to extend my warmest congratulations to PIEMI and to all the awardees and reaffirm the willingness of the Brazilian Embassy in Manila to strengthen our collaboration and cooperation with PIEMI and all the relevant Philippine authorities in the field of science, technology and innovation.
Thank you very much.
“Chinese TV Production, Innovation & Marketing Strategies”
MR. ALVIN KINGSON TAN
President, Fil-Chi Media Productions, Inc. | Chinoy TV
[2017 Philippine Innovation Man of the Year]
[VIPS]… A meaningful afternoon to you all.
It is with great honor that I accept this award, the 2017 PHILIPPINE INNOVATION MAN OF THE YEAR, given by the Philippine Innovation Entrepreneurship Mission Inc. In the first Philippine Innovation Convention, where I have the pleasure of meeting with individuals who share the same vision of change as I have.
For that, I am truly thankful to this body for inviting me and believing in me and Chinoy TV. This is, as a matter of fact, our first major recognition and we could not be any more overwhelmed and prouder at the same time, bearing in mind, for the most part - the seriousness and difficulty of running a production company.
Yes, this is no joke. However, I am constantly reminded of one popular among network executives that I learned through one of my mentors, David Lim, former owner of destiny channel and currently of myphone. It goes - non-verbatim, “if you have an enemy, encourage that person to get into TV production”. That way, you are letting them experience, or suffer, the constant struggles braved by a large portion of today’s professionals, on a daily, and even hourly, basis. Such ordeal is especially challenging to independent producers such as us, who have no formal training in production, and our company, Fil-Chi media productions incorporated, a mere fish in the media pond, whose trademark project, Chinoy TV, has only recently marked its 7TH year. On the contrary, you have the much larger players who already have at least 10 or 20 years behind them and are now dominating the television industry. Given that, we are continuously faced with the need to innovate in order to stay relevant in the market.
Nonetheless, these past years have been marked with incredible growth. And I am proud to tell you three of our foremost accomplishments with the show that embodied innovation the best. Back in 2010, our idea was to create a TV show exclusively about the Chinese, and for the Chinese. It was to focus on news and current events, a premise greatly appreciated by both the older and younger generation. As appropriate and straight-to-the-point as it was and still is, we expanded our horizon to see beyond what our viewers simply need. Thus, we made Chinoy TV a lifestyle magazine show that features news as well as ways to inspire and entertain them. More than that, it now aims to bridge the Chinese and Filipino communities, be their premier source of information of various nature, and provide a platform to the Chinoy youth who want to engage in the field in production, creatives and the like, instead of the usual entrepreneurship or corporate route.
Secondly, what once was a plain community show that served the first generation Chinese and Chinese Filipinos, we have began to tap professionals and individuals who perfectly balance the Chinese and Filipino attributes by embracing their talents, whatever they may be. In addition, we have invited more experienced manpower to join the behind-the-scenes team who are also provided with innovative equipment to ensure an outcome of much higher quality.
Last but not the least, and so because it is our most recent innovation, we have transformed Chinoy TV into a multiplatform enterprise. We may have started on television and even still carry the word “t” literally, but that doesn’t mean our potential should stop there.
By introducing Chinoy magazine for the print division, both our Chinese and Filipino followers in Metro Manila can have Chinoy TV in their hands. It will be a collection of all our accomplishments on a quarterly basis which will be distributed in Chinese centers near their area.
With Chinoy TV Online, they can experience the new digital world at its finest. Our newly launched bi-lingual website will feature everything from fresh lifestyle material to opinions, while our social media pages will be constantly engaging our followers with interactive visual uploads.
Celebrations are also commonplace within the Chinoy community, and so through our events division, there have been more reasons to gather and celebrate. our projects like the MR and MS Chinatown has given the Chinoy youth a chance to be role models for their community, where they have been taught valuable knowledge and skills that brought out their full potential and used them to inspire and aid others.
Targeting the same age group, the Chinoypreneur challenge previously honed the already brilliant entrepreneurial nature of college and university students and gave them an opportunity to be mentored by the best in the business. Also, our health and wellness campaign was a chance for the adults to better appreciate and look after their well-being and the others as well.
Finally, from airing on relatively smaller networks, Chinoy TV has now moved to the bigger ABS-CBN News Channel with a wider reach of audience. By doing so, our goal of bridging two communities can be better realized and our content upgraded with the guidance of true-blue veterans.
All of these will not be possible of course, without God, who has been guiding me in spirit and helping me discover my potential in this industry; my wife, who continues to be there for me and always supports me even in my busiest hours; my family, who for a long time has been inspiring me to be the passionate and willed man that I am today; my mother, the sole COO and EP of Chinoy TV, who has been with me the most in this project as a partner; Chinoy TV’s production team, who have been patiently putting the show together with their extraordinary skills every single day; the Chinese Filipino community, who has always believed in us and whose appreciation of the Chinoy culture has always been one of our main driving factors, and; finally, the Philippine Innovation Entrepreneurship Mission Inc., who has given us even more motivation to continue to strive for our vision- thank you very much.
If there is one thing we have made clear in this experience, it’s that nothing is impossible with enough grit, hardwork and perseverance and as long as one is open to anything- this helped us endure the past 7 years and brought us to this humbling stage where we are now moving to ANC along with this award, we can only consider this is a mere beginning and we are truly looking forward to do even better in the coming months and years.
Thank you and good afternoon!
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